Australia will continue to get the maximum amount of fuel it can from Singapore following global volatility in oil markets.

Prime Minister Anthony Albanese and Singaporean counterpart Lawrence Wong inked a fresh agreement on Friday to continue trading large amounts of fuel and gas between the two countries, following a visit by the Australian leader to the Asian city-state.

The agreement stated the countries would “make maximum efforts to meet each other’s energy security needs” at a time when fuel prices have skyrocketed and many service stations face shortages due to the conflict in the Middle East.

More than a quarter of all fuel imported into Australia comes from Singapore, while Australia provides about one-third of the city-state’s LNG supply.

Albanese said the agreement would ensure energy security would be protected.

“It’s vitally important that we co-ordinate our response to the global fuel crisis and co-operate so that both of our economies are more resilient,” he told reporters at a joint media conference.

“The conflict in the Middle East is a long way from our region, but every nation in our region is being affected by it.

“The best way to deal with this global crisis is, indeed, to work together as partners and as neighbours.”

The Singaporean Prime Minister dismissed the possibility fuel exports would be restricted if supply issues worsened in coming months.

“We do not plan to restrict exports. We didn’t have to do so even in the darkest days of COVID and we will not do so during this energy crisis,” Wong said.

“I am confident that Australia and Singapore will not just get through the crisis, but we will emerge stronger and more resilient.”

Earlier in the day, Albanese toured an oil refinery and a liquefied natural gas terminal on Jurong Island, off Singapore’s southwest coast, clad in a hard hat and different industrial safety jumpsuits during each visit.

He was surrounded by massive tanks and towers while shown around the facilities.

During one visit, he met Singapore LNG’s chief executive Leon Wei Hung while gas was being extracted from a ship in the harbour.

The man-made island hosts a thousands-strong workforce and forms the heart of Singapore’s petrochemical industry, including its oil and natural gas exports.

But production at the facilities has been limited as most of the oil processed there comes via the Strait of Hormuz.

Both leaders also called for the strait, where one-fifth of the world’s oil supply flows through, to reopen.

Singapore is Australia’s largest two-way trade partner in South-East Asia.

The bilateral meeting followed Albanese and Wong signing a joint statement reaffirming Australia and Singapore’s commitments to continue trading in energy.